In 2020 we learned a couple of things. We all learned that we could quickly adapt to a new situation and make adequate changes in life. That also translates to marketing. Every marketer and company have had a strategy for 2020, but it all changed when the COVID-19 pandemic hit.
Still, most marketers were able to change their strategies and make good results. As someone in the CBD industry, you are faced with a similar challenge. The nature of CBD marketing is different from most other products.
After all, there are various regulations, legality issues, and dogma surrounding CBD, so you need to have a different approach. Luckily, as 2020 has shown us, you can overcome any obstacle if you put in the effort. Here is your guide for CBD online marketing in 2023.
Index
- Back to the Basics – What is CBD?
- How is CBD different from marijuana?
- How Big is the CBD Market?
- The coronavirus pandemic has slowed down in-store sales;
- What is driving CBD growth?
- What’s holding the CBD market back?
- The Challenges of Marketing CBD Brands
- Negative perception;
- Significant gaps in product quality;
- Major social media sites don’t allow direct promotion of CBD brands;
- Why is Marketing so Important for the CBD Industry
- Creating a unique brand;
- Acquiring new customers;
- Educating the general public;
- Lack of trust;
- Things You Can’t Say When Marketing CBD Brands/Products
- You can’t make unproven health claims;
- You can’t recommend CBD products as a substitute for medical therapies;
- You can’t make any disease claims;
- You can’t recommend it to minors;
- What CBD Advertising Restrictions are There in 2023?
- FTC regulations;
- FDA CBD regulations;
- Why Branding is at The Center of CBD Marketing
- Build a name for CBD;
- 7 CBD Digital Marketing Strategies for 2023
- Do CBD marketing research;
- CBD SEO marketing;
- Link building and backlinks;
- CBD content marketing;
- CBD influencer marketing;
- CBD email marketing;
- CBD affiliate marketing;
- The Future of CBD Marketing
- Conclusion
Back to the Basics – What Is CBD?
If you want to market a product, you need to learn everything you can about it. So the question is, do you know what CBD is? Yes, CBD is different from marijuana and doesn’t get people high. It’s the first thing every CBD marketing consultant talks about when promoting it.
However, CBD is so much more than that. Its full name is cannabidiol, and it’s also found in marijuana. Still, in most cases, CBD is derived from hemp, a plant related to marijuana, because hemp has higher levels of cannabidiol.
CBD occurs entirely naturally and is used for various reasons, yet until recently, it was stigmatized for being related to marijuana, and people were reluctant to try it. Fast forward a few years, and we now have plenty of research proving that there are some significant differences between marijuana and CBD.
How is CBD different from marijuana?
The first thing you should know as a marketer is that CBD doesn’t have any psychoactive effects. Why? Simply because it doesn’t contain THC. It may contain a bit of THC but not in the amount needed to get people high.
That’s why CBD is legal in most countries today. Even if there isn’t a clear law making it legal, many countries don’t regulate it anywhere, and people can acquire it at will. Where is CBD legal? Here are some countries on the list:
- Austria
- Argentina
- Belgium
- Bulgaria
- Croatia
- Canada
- Czech Republic
- France
- Germany
- Greece
- USA
Some countries regulate it by requiring a prescription for purchase, while others don’t require anything. Make sure to check the local laws before you start advertising CBD.
How Big Is the CBD Market?
As CBD became legal across the world, its market continued to grow. Today, it’s a healthy industry that still hasn’t met its full potential. Simply put, there’s a lot to be done in the field of CBD marketing to promote it and lift the stigma.
The whole global CBD market was valued at around $4 B in 2019. However, projections expect the total market value to climb up to $40 B by 2027 with an average CAGR of around 46%. Due to the variety of use, CBD is a quickly growing market.
It’s used in pharma, food, fitness, recreational, and other sectors. That’s why it’s one of the fastest-growing parts of the cannabis industry. Almost ¾ of the total market share is located in North America.
The coronavirus pandemic has slowed down in-store sales
All industries have been affected by the COVID-19 pandemic. Should this concern the CBD industry? Well, yes and no. In-store sales have dropped throughout the whole food industry.
However, many customers have simply transitioned to online options, and the situation is pretty much the same with CBD. Companies simply need to offer alternative options during the pandemic.
What is driving CBD growth?
There are new products, medicines, and therapies using CBD being made every day. At the same time, governments worldwide are implementing laws and legal pathways that enable businesses to create CBD-centered products.
The second primary reason for CBD growth is its use in the pharmaceutical industry. The medical world has recognized and discovered the benefits of CBD. That’s why CBD is being approved for medical use as well as CBD-based medicine.
What’s holding the CBD market back?
The biggest issue of CBD is customers not being aware of what it does, what it is, and how it can help. What can the industry do to make things better? That’s right, build more consumer awareness through advertisement.
Luckily, there are no longer obstacles in countries that have legalized CBD. Marketing CBD oil and other similar products are entirely legal. It’s up to advertisers to do their job and create a better image for CBD.
The Challenges of Marketing CBD Brands
Marketing is currently the largest problem for CBD. It’s also the challenge and the solution. Indeed, it will take time before things fit into their place. Even though the industry’s growth is evident, marketers face many challenges, as you can’t approach marketing CBD like you would any other product.
Can these challenges be overcome, though? In most cases, yes, but in some situations, you’ll have to work around them. Here are the challenges you should be aware of and how to overcome them.
Negative perception
Just mention CBD to someone over 35, and you’ll see what the general public thinks about it. First of all, when people hear about cannabidiol, they instantly think about cannabis. CBD is seen as an extension of marijuana and THC.
Many people see it as “just another way” for people to get high and nothing else. Since marijuana is illegal, they think that cannabidiol is illegal as well and has psychoactive effects, but they could be further from the truth.
Does it matter that this isn’t true? No, it doesn’t. What matters is the overall perception of the public. That’s why marketers need to educate the public, teach everyone what CBD is, how it works, and how it’s different from cannabis.
Significant gaps in product quality
A couple of hemp brands have already established their reputation as quality suppliers. However, a lot of the producers have shady production. They don’t have proper quality control – their production takes place in home garages or kitchens.
The final result is a product that can be different from one batch to another. At the same time, the ingredients that go into the products aren’t specified clearly. No matter what industry we’re talking about, customers want to know what they are getting for their money.
That’s why marketers need to advertise products truthfully, but it all starts from the brand itself. If the brand isn’t transparent, neither will your marketing be. Honesty and integrity are crucial to building the reputation of cannabinoids.
Major social media sites don’t allow direct promotion of CBD brands!
Instagram and Facebook don’t let brands create pages that promote CBD use in any way. Even if the products you sell are entirely legal, your page will probably be banned. Why? Simply because the public perception of CBD is closely tied to cannabis. However, you can create Facebook ads that promote hemp-derived CBD.
Not to mention trying to sell CBD on your Facebook store, it’s simply impossible. That’s a big issue, as social media is one of the best marketing channels – 73% of small businesses invest in it. CBD online marketing needs to play a massive role in pushing brands out there.
Luckily, there’s a way to create a CBD marketing strategy that includes social media. However, you need to go around CBD legislation and social network regulations by using social media to educate people on CBD with cold facts and research that gives accurate information.
You should also know that Instagram and Twitter don’t allow any kind of CBD ads. Another popular way to advertise is Google Ads, but sadly if you run any CBD-related ads, you will be penalized.
Why is Marketing so Important for the CBD Industry
Marketing is essential for every industry. It’s impossible to make any noticeable success without it, as it’s important both for new and established companies. On average, they should be spending from 6% to 20% of their gross revenue on their marketing efforts.
New companies need to invest more in marketing on average to establish themselves, but marketing is even more important for the CBD industry. It’s a brand new industry that offers new products most people don’t know about.
That’s why marketing is the key to the growth and further development of new products. With CBD finally being legalized in many countries, everyone is going on board with the marketing craze.
At the same time, brands need to educate their potential customers while distinguishing themselves and building their reputation. So, let’s start from there.
Creating a unique brand
Branding is crucial in modern business. No matter what kind of services or products companies are offering, they need a branding strategy to differentiate themselves.
The cannabidiol industry is proliferating, and there are more businesses each day, which is why companies need to put themselves on the map from the very beginning. With so much competition, it’s important to have a unique and recognizable brand that stands out. In the CBD industry, education is the best way to do this.
Companies need to establish themselves as experts on cannabidiols. They need to deliver useful information that will show how beneficial CBD is. It will build trust with potential customers and help them learn more about this magical ingredient.
Acquiring new customers
A Consumer Report survey from 2019 with over 4,000 participants showed that 26% of US citizens had used CBD at least once. Most of the people who tried are under 30 years old, which shows that the younger generations are more open to trying out CBD.
At the same time, it shows that there are still many people out there who haven’t ever tried CBD. Brands have the chance to acquire new customers who haven’t even tried CBD, but there’s also a good base of potential customers they can target.
Other numbers suggest that 40% of Americans are open to trying CBD. Now is the best time to come up with a CBD marketing plan and get new customers. If companies market themselves right now, they will easily attract new customers without competing with others.
Educating the general public
Yes, we all know that marketing is all about numbers and driving sales, but does it have some other roles? In this case, yes. We mentioned earlier that CBD is still a gray zone and that the general public negatively perceives it because they often associate it with marijuana.
Why do they associate it with marijuana, though? Because they lack any knowledge about CBD, and it’s up to the whole industry to start educating the general public.
That’s the only way people will learn what CBD is and how beneficial it is. Without the whole stigma on cannabidiol-based products, it will be easier to attract new customers.
Lack of trust
Let’s face it – most people don’t have trust in CBD brands. Some of them think these brands sell psychoactive drugs that are the same thing as marijuana. However, even those who are aware of the difference don’t trust the industry.
Why? Simply because the industry is still young. Consumers also understand that CBD isn’t still fully mainstream and completely legalized like all other products. The third reason for this is that CBD brands have sparked a few scandals over the years.
When the general public has a negative perception of something, every single error is blown out of proportion. Like it or not, that’s how people perceive things. The good news is that marketing is one of the best ways to build trust with your audiences.
Things You Can’t Say When Marketing CBD Brands/Products
When it comes to what producers can say about their products and how they can present them, the two organizations that regulate CBD marketing in the US are the FTC and FDA. The Federal Trade Commission controls how products are being advertised.
The Food & Drug Administration agency controls how products need to be appropriately labeled, including CBD marketing in the US. Even though CBD is being legalized and regulated completely, there are still things you can’t say about it, which will affect your marketing strategy.
So what can you do? Learn the rules you must follow and memorize the things you can’t say. That will make it easier for you to market products and find those openings you need.
You can’t make unproven health claims!
Not only is making unsubstantiated claims dishonest towards your customers, and you might get a huge backlash over what you said, but the regulatory agencies might also get involved.
Why? Simply because CBD does have health effects. Being dishonest about them might put someone in a dangerous situation. It’s generally a good idea to make health claims if there is scientific proof, research, or a study that works in your favor.
On the other hand, if you do this without backing it up and use big words like a treat, diagnose, and prevent, you should expect a backlash. If CBD has the potential for something, you should use words like “might be able to help” or “could help alleviate.”
Since one of your main marketing goals would be to educate your audience, you need to deliver stringent scientific evidence from an authoritative source. You can’t just back up your claims with someone’s YouTube video.
You can’t recommend CBD products as a substitute for medical therapies!
Even though there are countless anecdotes of people using CBD to replace pharmaceutical drugs, it doesn’t mean you can tell people to use your products that way. Yes, there is research showing that CBD has some effects on treating PTSD.
However, it doesn’t mean that you can promote it as a replacement for PTSD drugs or treatments. There simply isn’t enough evidence that it is, in fact, a good decision. At the same time, there are no official regulations for agencies saying that people should do it.
You can’t make any disease claims!
Government agencies define disease claims as language states that certain products, supplements, or ingredients can treat, mitigate, or stop some illness. That’s where a lot of CBD digital marketing consultants and brands alike made mistakes.
It’s because of them that the CBD industry got a bad reputation. Just because CBD has helpful effects that reduce pain doesn’t mean that it should be used for chronic pain. At the same time, you can’t say it treats depression and anxiety because it makes people feel better.
Even though these effects are related to the symptoms of an illness or a disease, you can’t say that CBD works directly on treating the disease. There’s still more research needed before marketers and brands can start making those claims.
You can’t recommend it to minors!
No matter what kind of marketing channel you plan on using, you can’t target minors. When it comes to physical advertising, avoid areas near playgrounds, schools, or other places where kids spend their time. At the same time, when advertising on platforms, make sure that the audience is at least 70% adult.
That’s how you can avoid being seen as advertising to minors. Don’t use any children’s characters, cartoons, or any figures that are typically idolized by minors either.
Furthermore, make sure that the website your ads are leading to has age restrictions and ask for visitors to give their age before getting access.
What CBD Advertising Restrictions are There in 2023?
Cannabidiol marketing is a bit tricky. After all, it’s not legal in all countries around the world. It’s decriminalized in some countries, which means that you can use it but can’t market it. There are many gray areas, and you need to make sure you don’t do anything that isn’t allowed.
We talked about the things you shouldn’t say due to regulations, marketing platform rules, and overall public perception. However, you should also pay attention to the laws that regulate CBD marketing. Again, the enforcing authorities for CBD marketing are FTC and FDA.
You need to ensure that you comply with CBD regulation measures to avoid getting fined or even shut down completely.
FTC regulations
- FTC prohibits any deceptive or false advertising;
- All claims about effects, benefits, and use must be validated with research;
FDA CBD regulations
FDA regulates products that are in the cosmetics, supplement, drug, and food category. CBD comes in various forms, and you can quickly get confused, so make sure to follow the guidelines.
- FDA allows CBD use in cosmetics products as long as it doesn’t misbrand or adulterate the product.
- For a CBD product to be promoted as a drug, you need to get official FDA approval.
- CBD cannot be added to any food products.
- CBD can’t be marketed as a dietary supplement or drug.
Why Branding is at The Center of CBD Marketing
When we say “branding,” we don’t mean just branding your business. Yes, building brand awareness is fundamental. However, apart from that, you should work on branding CBD itself. What does this mean?
It means distinguishing CBD from other cannabidiols. Most importantly, it should be distanced from THC and cannabis. When people hear about it, they shouldn’t instantly think about cannabis and getting high. They should understand how different and beneficial CBD is.
Build a name for CBD
This kind of perception turns down many potential customers and people who would try it out. CBD, in general, should be branded this way. Since you will do a lot of educational marketing that’s not so direct, it’s easy to do.
Once you’ve engaged customers and have their attention, you can then promote the company brand. Create the right perception of the product, and then showcase how you approach the issue as an organization and what your goals are.
That’s why you should start with building a brand first. Only after you’ve done this will you be able to market more effectively and get a better return on investment.
7 CBD Digital Marketing Strategies for 2023
Luckily for everyone involved, there are a lot of ways you can market CBD.
CBD marketing research
CBD marketing offers a lot of micro-niches that can help you find new customers. At the same time, they allow you to add a fresh twist to your marketing strategy so that you can offer value for a targeted market.
For example, you can focus on marketing CBD oil that will help customers specifically with anxiety problems or for people who would like to use it as a supplement after their workouts. A CBD marketing research can take time, but it will give you clear directions for your marketing campaign.
Furthermore, you should consider a professional CBD SEO company to do keyword research for phrases that don’t have a lot of competition. If you build your whole strategy around unused keywords, you can become a leader in that micro-niche.
With the right CBD marketing analytics, you can get actionable numbers telling you where to put your efforts. As a CBD marketing manager, you can’t just work on your “hunch.”
Why? Because this is a brand new market with specific challenges. That’s why there is so much potential in CBD. Marketing analytics will help you combine all the necessary pieces to achieve better results than your competition.
CBD SEO marketing
One of the best ways to get valuable organic traffic is with SEO. CBD marketing is limited, but your website is the best asset you have, and if you do things right, it will always be there. Since customers are still unsure about CBD and would like to learn more before trying, it’s an ideal option.
With various onsite SEO practices, you can optimize your website to gain more exposure. However, the most important thing to do is create your CBD keywords and optimize your site and content for them. These CBD keywords should be the most popular searches people use when looking for information about cannabidiol.
You can do this through onsite optimization, links, optimized blog posts, guest posts, and so much more with CBD SEO. Also, consider adding your site to “Google My Business” to get more local customers. If you don’t understand how to do this on your own, consider working with a CBD SEO company.
Link building and backlinks
Link building for CBD companies is an important part of a CBD marketing strategy. Apart from SEO and quality content, another key factor based on which Google determines whether a site is valuable or not is CBD backlinks. Link building is the process of building backlinks or links that lead from some other site to yours.
Not only is it an extension of CBD SEO that will boost your rankings, but you’ll also get more visitors to your site through those links. You can do that by reaching out to high authority sites and asking them to get backlinks.
On the other hand, if you build a great website full of relevant information, your CBD backlinks will also start to generate naturally. People want to link to valuable resources that offer quality information.
Link building for CBD companies is the same as with any other business. However, it might take a bit more time. It’s crucial to find authority sites that are willing to put down your links.
If you want to speed up the process, consider contacting a CBD backlinks agency as they have a database of sites ready to give you quick link juice. Furthermore, a good CBD backlinks agency can help you find the most suitable places to put your backlinks based on your niche.
CBD content marketing
A CBD content marketing strategy is essential – you need it in your CBD marketing plan. Content marketing refers to the practice of creating educational, consistent, and relevant information for your audience.
Content can come in the form of blog posts, articles, pictures, social media posts, videos, and anything you create. Your content should contain real value and look to give as much relevant information about CBD as possible. It shouldn’t promote your products or business directly.
CBD influencer marketing
One of the best ways to go around advertising restrictions imposed by social media networks is to use CBD influencer marketing. You can use the large base of organic followers that people have on social media to promote CBD.
Simply put, you don’t need ads to reach a lot of people. Influencers can reach them through their posts, stories, or other types of content they share on social media.
You can ask them to promote you directly, talk about your product, share CBD marketing news, talk about CBD legislation, or anything else.
CBD email marketing
CBD email marketing is one of the most effective channels you can use. It might seem outdated, but it brings the best results. You can use email capture forms to collect data about customers. Your signup forms should be followed with welcome emails, and you should send these instantly after someone signs up.
Make sure to send out newsletters to build interest in your products regularly – it’s an essential part of CBD email marketing. Keep emails short and sweet with social proof and add a bit of a story to keep things interesting.
CBD affiliate marketing
Affiliate marketing is a crucial marketing strategy. Similar to influencer marketing, it allows you to use other people for promoting your products. In fact, it enables you to “outsource” your marketing efforts to someone else.
Affiliates will market your products on their site and have to find a way to promote that product within regulations. There are many CBD affiliate partners with lots of experience, and chances are they can even teach you a thing or two about how it’s done.
The Future of CBD Marketing
What does await you as a CBD marketing manager in the future? That’s what everyone wants to know. The first thing you should do is start marketing. Many people don’t want to jump through hoops and work around the regulations and limitations.
However, it just means that you will start from behind once CBD advertisement becomes completely legal. It’s inevitable and will happen soon. With every passing day, we see more and more CBD marketing news talking about new opportunities and less strict CBD regulation.
CBD marketing managers need to work on promoting brands and products with these strategies that we mentioned. It will help create a foundation that will mean a lot once social media and ads become fully available.
Conclusion
We hope this guide helped you understand the foundation of marketing cannabidiol products. The areas mentioned above are where you should invest most of your time and effort. Even with the current limitations, marketers can achieve great results and get even higher returns once the marketing restrictions are lifted from this industry.
For more details check : A Budding Industry: CBD Statistics & Trends infographic below
